Business Segment Information

12 Months Ended

Dec. 31, 2018

NOTE 22 – BUSINESS SEGMENT INFORMATION

The following presents the Company’s operating segments. The accounting policies of the segments are the same as those described in Note 1 – Summary of Significant Accounting Policies. Transactions between segments consist primarily of borrowed funds. Intersegment interest expense is allocated to the Factoring segment based on the Company’s prime rate. The provision for loan loss is allocated based on the segment’s ALLL determination. Noninterest income and expense directly attributable to a segment are assigned to it. Taxes are paid on a consolidated basis but not allocated for segment purposes. The Factoring segment includes only factoring originated by TBC. General factoring services not originated through TBC are included in the Banking segment. On March 31, 2017, the Company sold its 100% membership interest in Triumph Capital Advisors, LLC (“TCA”) and discontinued fee based asset management services. TCA operations for the years ended December 31, 2017 and 2016 are reflected in the Corporate segment, along with the gain on sale of the Company’s membership interest in TCA.

(Dollars in thousands)
Year Ended December 31, 2018	Banking		Factoring			Corporate			Consolidated
Total interest income	$	170,871	$	90,092		$	2,013		$	262,976
Intersegment interest allocations		20,191		(20,191	)		—			—
Total interest expense		29,834		—			6,092			35,926
Net interest income (expense)		161,228		69,901			(4,079	)		227,050
Provision for loan losses		12,373		3,802			(8	)		16,167
Net interest income (expense) after provision		148,855		66,099			(4,071	)		210,883
Gain on sale of subsidiary or division		1,071		—			—			1,071
Other noninterest income		18,364		3,483			52			21,899
Noninterest expense		119,283		43,495			4,575			167,353
Operating income (loss)	$	49,007	$	26,087		$	(8,594	)	$	66,500

(Dollars in thousands)
Year Ended December 31, 2017	Banking		Factoring			Corporate			Consolidated
Total interest income	$	130,480	$	45,346			1,398		$	177,224
Intersegment interest allocations		8,023		(8,023	)		—			—
Total interest expense		16,240		—			5,300			21,540
Net interest income (expense)		122,263		37,323			(3,902	)		155,684
Provision for loan losses		9,310		2,227			91			11,628
Net interest income (expense) after provision		112,953		35,096			(3,993	)		144,056
Gain on sale of subsidiary or division		—		—			20,860			20,860
Other noninterest income		14,336		2,737			2,723			19,796
Noninterest expense		90,632		22,641			10,341			123,614
Operating income (loss)	$	36,657	$	15,192		$	9,249		$	61,098

(Dollars in thousands)
Year Ended December 31, 2016	Banking		Factoring			Corporate			Consolidated
Total interest income	$	90,823	$	32,824		$	845		$	124,492
Intersegment interest allocations		4,583		(4,583	)		—			—
Total interest expense		9,872		—			2,262			12,134
Net interest income (expense)		85,534		28,241			(1,417	)		112,358
Provision for loan losses		6,239		454			—			6,693
Net interest income (expense) after provision		79,295		27,787			(1,417	)		105,665
Noninterest income		9,077		2,256			9,623			20,956
Noninterest expense		65,795		19,551			7,766			93,112
Operating income (loss)	$	22,577	$	10,492		$	440		$	33,509

(Dollars in thousands)
December 31, 2018	Banking		Factoring		Corporate		Eliminations			Consolidated
Total assets	$	4,458,399	$	688,245	$	737,530	$	(1,324,395	)	$	4,559,779
Gross loans held for investment	$	3,523,850	$	588,750	$	10,795	$	(514,751	)	$	3,608,644

(Dollars in thousands)
December 31, 2017	Banking		Factoring		Corporate		Eliminations			Consolidated
Total assets	$	3,444,322	$	360,922	$	504,656	$	(810,867	)	$	3,499,033
Gross loans held for investment	$	2,784,147	$	346,293	$	11,936	$	(331,520	)	$	2,810,856